Solar Feed-in Tariff

Did you know you can be paid for the surplus power your solar panels generate?

The solar feed-in tariff pays you for energy you don’t use. Once your grid is connected and your solar panels are installed, you will be paid for all excess energy will be fed back into the grid.

The new bidirectional power meter, which is installed once your system is complete, measures the amount of excess energy you produce. If you produce more energy than you consume, you’ll receive a cheque in the mail to the value of your excess energy production. Great, hey?

Solar Feed-in Tariff Breakdown

Gross Tariff

In a nutshell, the gross feed-in tariff allows you to have your solar panels feed every Watt of electricity they produce back to the grid. This is different to a net feed-in tariff, with which you do not have to use the solar energy on your home or workplace first.

The gross feed-in tariff was rolled out in New South Wales a few years ago and stopped in early 2011. The gross feed-in tariff is still currently available in the ACT, however it is not certain how much longer that will be the case.

In New South Wales, not only could you sell the whole load back to the energy companies, but you also got a massive 66c per kW produced. That’s more than double the rate the average household pays for power.

Net Tariff

The Net Feed-in Tariff is standard practice across most of the country now. It’s kind of like an overflow system. What you do not use in your home or workplace will overflow back into the grid and you will be paid for it.

Net feed-in tariffs are probably designed to make people become more aware of their energy consumption. Most people want to sell as much solar power as possible, so they turn their appliances off before they go to work.

Some people have even be known to read with candles so they don’t use any power whilst their panels are at work.

State and Territory Schemes

The Queensland Solar Bonus Scheme is capped at a maximum 5kWs and one system can be installed per premises. The net feed in tariff QLD is paid for by both the Queensland government and electricity retailers. The Queensland government will pay 8c per kWh for 20 years and the mandatory contribution from the electricity retailers is 6 – 8c per kWh.

Electricity bills in Queensland are on the rise and the future is not looking very optimistic. Electricity prices increased between 2014 and 2015 by up to 22% and are set to increase further in 2016 and 2017. This is despite the 70% increase Queenslanders experienced between 2007 and 2012. Queensland households suffered a further 16% increase in their electricity bills between 2012 and 2013. These increases have prompted many homeowners throughout the state to take advantage of the solar rebate and generous net feed-in tariff by installing solar panels, helping them avoid further stress on the household budget.

This ‘fair price’ was announced by the Independent Pricing and Regulatory Tribunal (IPART). The determining factors of the broad rate have remained undisclosed, meanwhile current rates are set by the NSW electricity retailers. The best thing to do would be to get in touch with the energy retailers directly and see what solar feed-in tariff they can offer to you.

From 2010 to 2015, NSW homeowners and tenants have experienced a whopping 80% increase in electricity prices. The ever increasing rise in electricity bills for NSW residents is not showing any signs of slowing down.

A further 20% increase back in July 2013 put another dent in the Christmas budget and 2014 isn’t looking good either. Join the Joneses and install solar panels. Don’t fall victim to the state’s poor energy planning and get 3 solar quotes now.

Victoria has a Net Solar Feed-in Tariff that is set at a minimum of 8c per kWh.

This means that every kilowatt hour of energy that your solar panels produce, (and your home or business doesn’t consume), you will be paid 8c per kilowatt hour from your electricity retailer.

Melbourne and Victoria’s price for electricity has increased by at least 85% since 2007. This has led to an increasingly large take-up of solar panel systems throughout Victoria. Homes and businesses alike are feeling trapped by this continuous spike in electricity prices, discovering regular increases on their electricity bills.

Electricity price rises are inevitable, as proven recently in July 2013 when the price for electricity jumped between 8 and 14%. The actual price rise varies across Victoria’s five distribution areas and is dependent on your electricity retailer. Solar panels are by far the best way to grab the bull by the horns and take control of your electricity bills. Get 3 quotes and find out how you can save money today.

South Australia has a Net Feed-in Tariff that is currently set at 9.8c per kWh.

This amount consists of a state government and electricity retailer contribution and is not predicted to change prior to the 2014 review.

Adelaide home and business owners installed solar panel systems in record numbers between 2011 and 2013.

The previous solar feed-in tariff was set at 16c per kWh and this was a large contributing factor in the recent boom in solar panel installations across the state. Adelaide and South Australia alone have seen close to a 100% increase in the cost of electricity since 2007.

Solar panels are by far a more economically responsible option over falling victim to the rising cost of electricity.

Canberra electricity bills have not jumped as dramatically in comparison to Australia’s other states, however a 60% increase since 2007 indicates that the ACT is not immune to the electricity price rise. With a current rate of 18c per kWh, solar panels are still the most appealing alternative source for electricity.

Businesses and households across the ACT have taken advantage of the generous solar rebate by installing solar power systems.

The opportunity to slash or even wipe out your electricity bill has motivated residents to take up solar and become more energy efficient.

Depending on where you live, you can earn up to and over $3000 each year when you install a solar panel system. All Synergy customers are eligible for 8c per kWh and Horizon customers are eligible for up to 50c per kWh. Horizon Power has set different feed-in tariff rates across the state so your annual earning potential really depends on where you live. Click here to find out what rate Horizon Power has set for your area.

Residents in Western Australia have had an increase of 13% in their electricity bills since 2012. The price of wholesale gas has increased significantly in recent times and this along with the patchy refurbishment of the Muja Power Station has played a huge part in the increase of electricity prices throughout WA.